UT Admn to revise rates for transfer of leasehold property

Ramkrishan Upadhyay   

Tribune News Service   

Chandigarh, March 22   

After fixing rates for the conversion of property from leasehold to freehold  on the basis of  collector rates, the Administration  has  now decided to  revise rates for the  transfer of leasehold property. 

Sources  said the Administration was planning to link  transfer rates with collector rates. The sources said the initial  discussion  on long-pending  issues  had  taken place  at the highest  level  and  it was  proposed  to link the unearned  profit with the prevailing  collector rates. 

Under the Estate  Rules, 2007, the transfer of leasehold property  is allowed  on the  basis of 1/3rd of the unearned increase on the  value i.e. the difference between the price paid by the original allottee/lessee and the market value of the site/building at the time of the permission for transfer shall be paid to the government before registering such sale or transfer. The rules  prescribe that the  market value of the property for this purpose shall be assessed by the Estate Officer or such other authority as may be prescribed by the Chief Administrator. 

The  rules  further say  that the  current market value of the property shall be assessed in view of the average of auction price over the past three financial years for the property of the same category or on the basis of such other factors as the  competent authority  considers to be appropriate.  

The sources  said as the Estate Office had not auctioned any property since 2008, it was not  possible to  calculate the present market value. 

This  led to the situation where  the  transfer of leasehold  property stopped,   causing  hardships to their  owners. Vinod  Mittal,  an industrialist,  said that  the rates should be  affordable, otherwise, no one would come forward for the   transfer.        

Clarification on policy for society flats sought

Chandigarh: While residents of cooperative societies demanded a simple policy for the transfer of flats, the office of the Registrar of Cooperative Societies has sought clarification on the transfer policy announced on February 5, 2016. Rajiv Gupta, Additional Registrar of Cooperative Societies, said the  department had sought advice from the Legal Remembrance as to who will execute the conveyance deed with a society in case of the death of the original allottee. An advice  has also been  sought on the cases where the societies have  transferred flats/share to subsequent buyers. It has asked, in such cases, as to who will execute the  conveyance /lease deed with the  society and who will pay the stamp duty.